What makes CAMs a better bet than AMCs for financialisation theme

Viewed as a proxy to asset management business, steady financial record is the USP

The initial public offering of Computer Age Management Services (CAMS) was among 2020’s most talked-about listing. With gains of 23 per cent on listing in October, there was high demand for the stock. It has delivered 46 per cent returns from its issue price of Rs 1,230.

Lately, with asset management companies (AMCs) or the mutual fund (MF) industry recording significant redemption pressure, and seven consecutive months of net equity outflows till February 2021, the spotlight is on CAMS.

Seen as a better proxy to capture India’s AMC theme, CAMS’ market leadership, steady-state revenue model, and meaty profitability position it as among